DOCUMENTATION AND

REGISTRATION

SALE OF PROPERTY
INDIVIDUAL TO INDIVIDUAL
Preparation of Deed of Sale
Get Clearance and Certified Copies of the
following:
Title (Register of Deeds)
Requirements: Photocopy of Title and ID of Presentor
Php275.00
Realty Tax Clearance (Treasurers Office)
Php50.00 Php100.00 per Tax Declaration
Latest TD (realty tax clearance is pre-requisite)
Php50.00 Php100.00 per Tax Declaration
Certificate of No Improvement, if vacant lot (Assessors Office)
Php50.00 Php100.00 per Tax Declaration
Affidavit of No Improvement, if vacant lot (Assessors Office Seller)
Php50.00 Php100.00 per Tax Declaration

SALE OF PROPERTY
INDIVIDUAL TO INDIVIDUAL
Bureau of Internal Revenue
Pay the Documentary Stamp Tax
(1.5% x Tax Base) Form 2000-OT

Pay the Capital Gains Tax

(6% x Tax Base) Form 1706

Other BIR Forms

Form 1904 Tax Record Update (fill-up)
*Tax base: Selling price, Zonal value or Market Value (in TD)
- The highest of the three.
If with improvement, Market Value on TD
*Processing: (3-4 weeks)
*Certificate Authorizing Registration (CAR) is given after payment.

SALE OF PROPERTY
INDIVIDUAL TO INDIVIDUAL
Treasurers Office (LGU)
Pay the Transfer Tax
(Tax Base x 1% x Rate)

Register of Deeds
Pay the Registration Fee
Basis is Selling Price
Should be paid within a year
(CAR validity)
Processing: 3-4 weeks

Assessors Office
Secure new tax declaration (minimal fee)

DUE DATES
DOCUMENTARY STAMP TAX (DST)
5th day of the following month (basis is notarization date)

CAPITAL GAINS TAX (CGT)

Within 30 days (basis is notarization date)

CREDITABLE WITHHOLDING TAX(CWT)

10th day of the following month (basis is notarization date)
*Installment or Deferred Payment Sale is already subject to CGT. However DST shall accrue upon full payment only.

TRANSFER TAX
Within 60 days (basis is notarial date)

REGISTRATION FEE
Within 1 year (co-terminus with the life of CAR)

NEW TAX DECLARATION

At the discretion of Assessors Office

PENALTY
DST, CGT/CWT
20% interest p.a.
25% surcharge (one-time)
Compromise penalty

TRANSFER TAX
2% interest per month.
25% surcharge (one-time)

SALE OF PROPERTY
INDIVIDUAL TO
CORPORATION
Requirements:
Seller
Same as above

Buyer
S.E.C. and B.I.R. Registration
Secretarys Certificate
Approving the purchase of lot
Authorized signatory

SALE OF PROPERTY
CORPORATION TO
CORPORATION
Requirements:
Seller
S.E.C. and B.I.R. Registration
Secretarys Certificate
Approving the sale of lot
Authorized signatory

Buyer
Same as Seller

OTHER SALE REQUIREMENTS

Minor
Legal guardian appointed by the court

Agricultural Land
DAR Clearance
Affidavit of aggregate landholdings
Conversion permit if it will be for other uses

CHECKLIST OF RD DOCUMENTS
Deed of Sale

3 copies (1 original, 2 duplicate)

Title
CAR, CGT and DST Payment Forms
Transfer Tax (Treasurers Office)
Tax Clearance (Treasurers Office)
Tax Declaration (Assessors Office)
Presenters ID (2 Photocopy)

If corporation:
S.E.C. Registration and Articles and by-laws
Secretarys Certificate